USD/JPY briefly reached the 160 level in the New York market, but then quickly fell back into the upper ¥159 range. There have been reports that no intervention information has emerged.
In today's New York FX overview, USD/JPY briefly reached the 160 level before quickly falling to around ¥159.35. Some market participants noted that the moment the pair broke above ¥160 was viewed as a resistance level.
The move is attributed to the break above the 200-day moving average, with investors expecting a stronger yen seen unwinding their positions. Meanwhile, Finance Minister Mimura (三村) cautioned that it was too soon to forget the events of this summer.
Past coordinated interventions totaled 3 operations involving approximately ¥15.4 trillion in yen-buying intervention, but some analysts believe the hurdle to intervention is currently high. The yen is gradually regaining its status as a safe-haven asset, reducing the incentive for yen carry trades.